This study investigates the relationship between climate change, the Sustainable Development Goals (SDGs), and economic stability within the framework of climate change mitigation. The analysis draws on annual data from 2000 to 2021 for the European Union (EU28), incorporating environmental, governance, macroeconomic, and household-level variables. Carbon dioxide (CO₂) emissions serve as a proxy for climate change. Employing both empirical and machine learning (ML) approaches, the results reveal that GDP, the consumer price index, energy consumption, final consumption expenditure, and both direct and indirect emission multipliers are significant predictors positively associated with CO₂ emissions. Conversely, renewable energy consumption, environmental taxes, and governance effectiveness are significant predictors negatively associated with emissions. Additionally, the ML models highlight energy consumption as a key driver of future CO₂ emissions. The findings also support the Environmental Kuznets Curve hypothesis, indicating a nonlinear relationship between environmental degradation and economic activity.